Following today's big announcement that Microsoft has changed its mind on used game restrictions and online check-ins to refresh licenses, we spoke with Xbox chief product officer Marc Whitten. We discussed pricing, changes to digital titles, and how Microsoft is positioned following E3 last week.

We started off by clarifying a comment made in an earlier interview with Kotaku. According to that story, the Xbox One needs an always online patch to enable offline play. This isn't entirely accurate, Whitten explained.

"There's always been a plan to have a day one update for Xbox One," Whitten told us "It's just the difference between the hardware schedules and the software schedules. We're just being clear that it still exists." In other words, you'll need to connect the Xbox One once in order to get it up and running.

One of the biggest negative changes in the DRM and online connection shift is that users will no longer be able to share their digitally-purchased games with nine family members. Whitten explained that the original plan was to apply policies to games regardless of purchase mechanism, hence the sweeping change.

We spoke with Microsoft about the mood after the Sony press conference at E3. Whitten told us that despite Sony's clear jabs at Microsoft and the $100 price difference the team "had a really great day." Whitten continued, "I knew we were going to get a ton of feedback. What we heard is that people love our games, but there were a couple of areas where they want more choice."

When we asked about the two remaining differentials, price and the mandatory use of Kinect, Whitten was clear: "[$499] is our price for Xbox One."

"We believe in the value that we're delivering, not just for day one, but for the system to grow and evolve," Whitten explained. "To us, things like Kinect are part of that. It's a toolset for game creators that has never existed before. Users are just going to have a better experience."

As for pre-orders following a week of feedback that was often inhospitable, Whitten told us simply, "We're excited." We asked if the same sentiment was shared by publishing partners.

Whitten chuckled. "I've been on the phone all day and haven't had a chance to see how it's landing online yet," he said.

I still don't care for the machine. The fact that MS almost did this infringes on my trust in them.

The backpedaling also makes them seem weak and ready to do whatever Sony does. This move further solidified the belief that Sony is in control. I'm still going PS4-Wii U this gen until maybe the Xbone gets down to a low price, something like $250.

I was never getting and Xbox1 regardless but I offer this advice to people who now want to get one. If these options were so easy for them to "shut off" what prevents them from turning them back on in the future after they make enough sales? Trust and believe it will happen.

This was a knee-jerk reaction to a large, although misinformed, opinion of gamers. Gamers that understood what the Xbox One was going to offer us were excited for the machine. It's unfortunate the average gamer couldn't see past the used game issue. It will be difficult sharing my games now with all my friends who live over a thousand miles away, but it's what the public wants, I suppose. I wish there was an option to opt back into its previous plan.

EDIT:

And when I say misinformed, I'm talking about that people whose knowledge on the subject was so small, it literally made me angry thinking about it. It was never anything on this site in particular, mostly other sites, but the general consensus had either, A) no idea what they were talking about or, B) Trolls.

I know I'm part of the minority here, but I really do think people were extremely over-exaggerating on some of the Xbox One policies and still are. It's good that they are willing to listen to their consumers, but the idea of having two radically different consoles was one the of the things that really got me excited for the next generation.

I'll no doubt end up with every console further down the line, but I'll be going with the PS4 still at launch and for several years. Fact is:
- PS4 is still $100 less.
- Netflix, Hulu, services are not behind a paywall.
- Free-to-Play games are also not behind a paywall.
- PS+ offers more value than Xbox Gold, $10 less. Provides free games for every Playstation system, automatic updates, Steam-level discounts, 1-hour trials and Betas to nearly every major AAA release, and acknowledges your dedication as a customer..
- PS Eye is optional.
- PS4 is still a more powerful machine.
- Longer, proven history of supported and good exclusives.

Of course, five/six years from now I'll end up with the Xbox One as well.

It's nice to see Microsoft actually respond to the public outcry in regards to their policies, but it's a shame that some of their new ideas will be cut out as a result.
I was looking forward to the prospect of cloud sharing, it could've reshaped the way we play and enjoy games with friends and family, but their model for introducing the concept was, in my opinion, flawed, and ostracized a considerable fraction of their community.
Here's hoping they can figure out a way to bring that idea to life without alienating so many people.

"We're Excited" is not an answer. Also, not to beat MS while they are seemingly trying to do the right thing here, but why remove the friends and family stuff now? Some people actually thought that was a good idea. Also, they never said anything about incentives for a digital purchase of a game vs a physical one, so we have no idea if there was any reason to buy a digital release (i.e. A price slash since there was no physical production costs or maybe a free DLC package for doing so). This seems like MS saying, "Fine, we give in. You get things to remain exactly as they were. We had cool ideas but you guys didn't want them so we're taking away ALL the things we were going to give you." Why not remove Kinect? Why not remove the TV aspects or the Fantasy Football apps that 90% of the gamers didn't want? The infrastructure for the Friends and Family Plan must still exist, so why not implement it? Even (sigh) charge for it if you must. I guess I am saying that while I applaud Microsoft listening to the fans for once, I am still put off by their attitude during this mess and the arrogance they displayed against people they considered insignificant before now (People overseas, people with poor bandwith, etc.). This is a step forward, but by cancelling everything that went along with the bad things they seem a little petty. At least now I have more of a choice in my next console purchase, and that games will be the deciding factor, rather than the policies of the people making the systems. Thank God...

This is awesome and unprecedented in big business i really am amazed they have done this and so quickly.. i am sure the publishers will be a bit miffed but pure hardware sales would have resulted in poor software sales anyway i am sure they will settle down once they think about that. Well done Microsoft you have restored faith and i am glad you are not like Apple thinking we are all sheep.

If you install games can you still switch between them instantly like shown at the e3 demo where they were playing Ryse and then switched over to killer instinct when they found an exact match in matchmaking?

Surprising, but for the better. These policies were doomed from the start. The terrible PR, little to no benefit for consumers, and the perceived lack of empathy for the military.

I served on three ships during my enlistment, and when guys didn't have duty while deployed, 9 times out of 10 they were either on the mess decks or in their shops gaming. And because the Xbox 360 was cheaper and was pretty much the home of first person shooters, most of the sailors/marines owned them. That's a huge demographic to alienate.